Study Of Mechanism And Path Of Rural Finance To Rural Economy In Xinjiang

Since China carried out reform and open policies over 30 years ago, the rural economy in Xinjiang also has obtained rapid development, but always lags behind the eastern and middle regions. The development level of rural economy in Xinjiang also has a certain gap with the national average level. As a complex engineering, the rural economy growth needs a variety of factors, among which the rural financial development plays a very important role. Therefore, this paper,through comprehensive study on the mechanism of Xinjiang rural finance to the rural economy, hopes to analyze deeply the channel of rural financial effect on rural economy to promote the reasonable rural financial scale,structure optimization and high efficiency in the construction of rural financial system, which can play a better role in promoting economic growth in rural areas.This paper,by using the theory of financial deepening, the theory of endogenous economic growth and so on, comprehensively studies the channel of Xinjiang rural financial effect to the rural economy and reveals the current problems of Xinjiang financial development and the factors that hinder the Xinjiang finance to promote the rural economic growth and proposes to further expand the scale of rural finance, optimize rural financial structure, improve the efficiency of rural finance and other constructive suggestions.Through the theoretical discussion and empirical analysis, the main conclusions are as follows:From the perspective of financial deepening, the Xinjiang rural finance, through investment effect, saving effect, and configuration effect, has a influence on the rural economy.The rural financial scale and efficiency have a positive impact on the rural investment, peasant household savings and the ratio of rural output value to investment but the rural financial structure has a negative influence on the three conduction paths.From the perspective of endogenous growth theory, the technology investment, the accumulation of physical capital and education capital are significant paths of effect of Xinjiang financial development on the rural economy.The rural financial scale has a positive influence on the technology investment, the accumulation of physical capital and education capital.The financial efficiency also has a positive influence on the accumulation of physical capital and education capital, but has a negative impact of conduction on the rural technology investment.